Peter Smyth: A Royal(ty) Opportunity?
August 12, 2010 at 12:06 PM (PT)
While clear that he's against a royalty/performance fee, GREATER MEDIA Pres./CEO PETER SMYTH is trying to move the discussion forward in his monthly blog. In fact, he seems resigned to some sort of conclusion that will cost radio some money. He writes:
"Many of you have no doubt read the recent press accounts related to the performance royalty issue in WASHINGTON. My colleagues gathered at NAB headquarters last week to hear an update on the continuing royalty discussions between radio and recording industry representatives. No vote was taken, and there is no 'deal' on the table. But the meeting left me feeling optimistic about possibly removing a Sword of Damocles that has been dangling over radio for years.
But when you move beyond the rhetoric and look closely at the proposed terms ... it seems clear: The conceptual framework provided by NABâ€™s leadership team is something that the leaders and owners in this great business should seriously consider.
"Don’t get me wrong: I hate the idea of taxes, royalties, fees or whatever you want to call new payments that might go to record labels and artists. I don’t want our company to pay a 1% net revenue fee for the 'privilege' of promoting artists and their music. But when you move beyond the rhetoric and look closely at the proposed terms that are under discussion, it seems clear: The conceptual framework provided by NAB’s leadership team is something that the leaders and owners in this great business should seriously consider. And I for one think it would be a huge miscalculation if we do not at least continue a dialogue that might provide the regulatory certainty needed to re-open access to capital and provide long-term opportunities for growth."
Read his full article here.
[What do you think about Peter Smyth's position on this important subject? Please, comment below.]